Saudi Arabian AI company Humain has invested $3 billion into Elon Musk's xAI, becoming a significant minority shareholder in the artificial intelligence startup. The investment was part of xAI's $20 billion funding round that concluded just before the company's acquisition by Musk's SpaceX. Humain's holdings will convert into SpaceX shares as part of the deal.

This deal strengthens Musk's ties with Saudi Arabia as the kingdom positions itself as a global AI powerhouse. Humain was formed in 2025 with backing from the country's trillion-dollar Public Investment Fund and has been aggressively acquiring infrastructure and compute capacity for AI development. The partnership gives xAI, which operates the X social media platform and Grok chatbot, a ready customer in the Middle East.

Grok trails OpenAI's ChatGPT and Anthropic's Claude in market adoption, and xAI is still building its commercial footprint. The companies announced a 500-megawatt data center in Saudi Arabia last November, along with plans to deploy xAI's models in the kingdom. This investment deepens long-term alignment between the two companies and extends Humain's role from strategic partner to leading global shareholder in xAI.